Data show that BIPOC and low-income communities pay a higher share of their income on energy bills

BIPOC and low-income communities experience higher energy burdens (i.e., pay a higher share of their income on energy bills) compared to white or non-low-income households. In particular, in a 2020 study, the American Council for an Energy Efficient Economy found that low-income households spent 8.1 percent of their income on energy bills, compared to the U.S. median energy burden of 3.1 percent. In addition, BIPOC households spent 3.5 to 4.2 percent of their income on energy bills, compared to just 2.8 percent for white households.

Data source: Drehobl, A., Ross, L. and Ayala, R. September 2020. *How High Are Household Energy Burdens? An Assessment of National and Metropolitan Energy Burdens across the U.S*. American Council for an Energy Efficient Economy. Available at: https://www.aceee.org/research-report/u2006

Resources on energy burden disparities across the United States

American Council for an Energy Efficient Economy Energy Burden Research
Baik, S., Hines, J. F., Sim, J. November 2023. “Racial disparities in the energy burden beyond socio-economic inequality.” Energy Economics, 27(A), 107098. Available at: https://doi.org/10.1016/j.eneco.2023.107098
Wang, Q., Kwan, M., Fan, J., and Lin, J. March 2021. “Racial disparities in energy poverty in the United States.” Renewable and Sustainable Energy Reviews, 137, 110620. Available at: https://doi.org/10.1016/j.rser.2020.110620
Scheier, E., and Kittner, N. January 2022. “A measurement strategy to address disparities across household energy burdens.” Nature Communications, 13(288). Available at: https://doi.org/10.1038/s41467-021-27673-y